Final answer:
The Truth In Mileage Act requires lessors to give lessees a written statement on the vehicle's mileage when transferring a lease. Lessors may face extra charges if they exceed a mileage limit, typically around 10,000 miles per year.
Step-by-step explanation:
In connection with the transfer of ownership of a leased motor vehicle, the Truth In Mileage Act mandates the provision of a written statement by the lessor to the lessee. This statement must accurately disclose the vehicle's mileage.
When discussing the lease of a vehicle, it's crucial to note that while advantages such as a newer vehicle and smaller monthly payments exist, there are also potential costs. One of the costs is related to mileage. If you exceed a certain mileage threshold, commonly around 10,000 miles per year, additional charges may apply.
Leasing a vehicle often requires a lower down payment and yields lower monthly payments compared to purchasing. However, if the lessee goes beyond the set mileage limit stipulated in the lease agreement, they may be responsible for extra mileage charges.